Uber Eats drivers can get money back in $5 million settlement - who's eligible
Summary
New York City Mayor Zohran Mamdani announced a $5.2 million settlement with Uber Eats, Fantuan, and HungryPanda for violating the city’s minimum wage rules for delivery workers. The settlement will benefit over 49,000 workers. Uber Eats will contribute the largest portion, $3.15 million, due to failing to pay the minimum wage between December 2023 and September 2024 for canceled trips. Fantuan will pay $468,000 and HungryPanda $1,068,672 in restitution and penalties.
The city’s Minimum Pay Rate rule, enforced since December 4, 2023, requires food delivery apps to pay workers at least the city’s minimum wage, currently $21.44 per hour, which will increase to $22.13 on April 1, 2026. The Department of Consumer and Worker Protection (DCWP) found that some apps used deceptive interface designs to reduce worker tips, resulting in a $550 million loss.
In addition to the financial settlement, Uber has agreed to reinstate up to 10,000 drivers who were wrongfully deactivated from the platform. The DCWP will oversee the distribution of restitution payments to affected workers, though specific payment timelines haven’t been announced.
(Source:The Mirror Us)